Energy traders said to be probed in UK over spark spoofing

The UK's energy regulator is investigating manipulation in derivatives prices in a probe, focused on alleged efforts by UK traders to push up the price of spark spread contracts.

Photo: Guiliano Koren

The UK's energy regulator is investigating whether traders manipulated some derivatives prices, according to documents seen by Bloomberg News and a person familiar with the situation.

The probe, known as "Project Damson," is focused on alleged efforts by UK traders to push up the price of spark spread contracts, which reflect the profitability of gas-fed power plants, by posting and then canceling orders in short succession, the documents show. Authorities across markets have been clamping down on so-called spoofing since it was cited as a catalyst for the Flash Crash in US equities in 2010.

Already a subscriber? Log in.

Read the whole article

Get access for 14 days for free.
No credit card is needed, and you will not be automatically signed up for a paid subscription after the free trial.

  • Access all locked articles
  • Receive our daily newsletters
  • Access our app
An error has occured. Please try again later.

Get full access for you and your coworkers.

Start a free company trial today

More from EnergyWatch

WindEurope warns against negative auction bids

If more countries introduce negative bids, where firms pay to establish wind projects, it could lead to higher electricity bills or more pressure on the supply chain, says the industry association.

BW Offshore halved bottom line in Q1

The Norwegian firm reports decline in several items compared to the same quarter of 2021 but predicts fine advancement in the rest of 2022, for which both floating wind projects and high energy prices show promise.

Equinor exits Russia

Norwegian oil company Equinor has taken its final step out of the Russian market by transferring joint venture assets to Rosneft.

Further reading

Related articles

Latest News

See all jobs